Government: Increased tax on tobacco and alcohol

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Published January 23, 2022 at 09.49

Tax. The Ministry of Finance has submitted a memorandum with proposals for increased alcohol and tobacco taxes. The increases, which will be particularly strong in the case of wine and beer, will take place in several stages.

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The memorandum proposes that the tax on beer and wine, among other things, be increased by 5 percent on 1 January 2023 and by a further 7.6 percent on 1 January 2024.

The tax on spirits shall increased by 1 percent on January 1, 2023 and by another 1 percent on January 1, 2024.

The government also wants to increase the tax on cigarettes and snus by 3 percent on January 1, 2023, and by another 1 percent on 1 January 2024.

The tobacco tax is recalculated annually on the basis of changes in the consumer price index (CPI) and these increases are in addition to the conversions.

In addition, it is proposed that the tax on e-liquids and other nicotine-containing products be increased by 1 percent on 1 January 2024.

The proposals are expected to increase tax revenues by just under SEK 1 billion in 2023 and a further just over SEK 1 billion in 2024.

The consultation bodies must submit comments on 18 March 2022 at the latest. proposals.